3. U.S. Housing

4. Annual Home Sales New Existing 9000000 8000000 7000000 6000000 5000000
New Existing

5. Buyer Traffic By State

6. Rent Growth
4.5
4.0
3.5
3.0
2.5
2.0
1.5
1.0
0.5
0.0

7. Wealth Gap Between Young Adults (under-35) and Retiree (65+)
Median net worth of households headed by…
$250,000
$230,000
$210,500
$200,000
$150,000
$120,524
$100,000
$50,000
$15,260
$10,460
$8,500 $0
1983
2013
2016 est.

8. Student Loan Debt
1600
1400
1200
1000
800
600
400
200
- Q1 - Q3 - Q1 - Q3 - Q1 - Q3 - Q1 - Q3 - Q1 - Q3 - Q1 - Q3 - Q1 - Q3 - Q1 - Q3 - Q1 - Q3 - Q1 - Q3 - Q1

9. Distressed Property Sales 2008 – 2016 % of Total Sales
Short Sale Foreclosure 60 50 40 30 20 10
Oct
Jan
Apr
Jul
Oct
Jan
Apr
Jul
Oct
Jan
Apr
Jul
Oct
Jan
Apr
Jul
Oct
Jan
Apr
Jul
Oct
Jan
Apr
Jul
Oct
Jan
Apr
Jul
Oct
Jan
Apr
Jul

10. Investor Sales (% of Total Sales; 12-month average)22 20 18 16 14 12 10
Sep
Dec
Mar
Jun
Sep
Dec
Mar
Jun
Sep
Dec
Mar
Jun
Sep
Dec
Mar
Jun
Sep
Dec
Mar
Jun
Sep
Dec
Mar
Jun
Sep
Dec
Mar
Jun
Sep

11. Median Expected Price Growth in Next 12 Months by State

12. Single-family Housing Permits and Starts –
Grossly Inadequate
2000
1800
1600
1400
1200
1000
800
600
400
200
Thousand units
Jan
Jun
Nov
Apr
Sep
Feb
Jul
Dec
May
Oct
Mar
Aug
Jan
Jun
Nov
Apr
Sep
Feb
Jul
Dec
May
Oct
Mar
Aug
Jan
Jun
Nov
Apr
Sep
Feb
Jul
Dec
May
Oct
Mar
Aug
Jan
Jun
Nov
Apr
Sep

13. Foreign Buyer Purchases: $102.6 B
(7 Percent of Existing Home Sales)
Dollar Volume of Foreign Buyer Residential Property Purchases
$120
$100
Billions
$80
$49
$59
Recent Immigrants
$45
$60
$41
$33
$33
$40
$54
Pure Foreign National
$20
$41
$47
$44
$33
$35 $0
2011
2012
2013
2014
2015
2016

14. Jobs (8 million lost … 15 million gained) In thousands 150,000 145,000
140,000
135,000
130,000
125,000
120,000
Jan
Jul
Jan
Jul
Jan
Jul
Jan
Jul
Jan
Jul
Jan
Jul
Jan
Jul
Jan
Jul
Jan
Jul
Jan
Jul
Jan
Jul
Jan
Jul
Jan
Jul
Jan
Jul
Jan
Jul
Jan
Jul
Jan
Jul

15. Housing Forecast 2015 2016 Likely 2017 Forecast 2018 New Home Sales
500,000
570,000
620,000
700,000
Existing Home Sales
5.3 million
5.4 million
5.5 million
5.7 million
Median Price Growth
+ 6.8%
+4.0%
4.2%
2.5%
30-year Rate
3.9%
3.6%
4.1%
4.5%

16. Local Housing Market

17. +

18. + = 82% of Market was Residential Resales 18% of Market was
New Construction
Sales
New Construction National % average runs between 9-11% highest national nc % was 16%

19. TOTAL CLOSED
2016
2015
7,636
+7.9%
7,077
2015 WAS 5.7% higher than 2014 (+322)
(+559)

20. + 7.9% # Sold Whole Market +9.2% Resale Market? (+559) 6269 7633
(+554)
7633

21. + 7.9% 0.0% Resale Market +9.7% New Construction ? # Sold Whole Market
(+2)
(+559)
7633
1364

22. EXISTING HOMES SALE BY THE NUMBERS

23. 18% 80% 17% - Foreclosures Avg Price = $142,911 Avg S.F. = 1835 s.f.
< $75,000
80%
< $202,000
17% - Foreclosures
+9.2%
Avg Price = $142,911
+7.2%
Avg S.F. = 1835 s.f.
+0.9%
Avg $/S.F. = $78/S.F.
+6.2%
Mean Days on Market = 59
(+ 556)

24. < 3.2% > Average DAYS ON MARKET Top Half DOM Bottom Half DOM 162
Average DOM = 23 Days
Average DOM = 165 Days
< 3.2% >
162
Longest DOM = 59 Days
Longest DOM = 1550 Days

25. NEW CONSTRUCTIN BY THE NUMBERS

26. 0.0% 80% New Construction < $283,000 Avg. Price - $237,948
< $283,000
Avg. Price - $237,948
(+2)
+7.7%
Avg. S.F s.f.
+0.1%
Avg. $/S.F. - $94/S.F.
+2.9%

27. What does it mean to you?
All New Construction Appreciation $/s.f %
Cumberland County %
Harnett County %
Hoke County %
All Residential Existing Appreciation $/S.F %
Cumberland County %
Harnett County
Hoke County %

28. 2017

29. New Construction Land Costs Development Costs Material & Labor
Market forces would say builders should reduce their inventories even more and raise their prices to more profitable levels
Material & Labor